While prepping for a zombie apocalypse, Caleb was glad the hardware store sold him 12 rolls of duct tape rather than making him buy all 200 rolls they had in stock. What benefit of intermediaries is illustrated in this example?
A) Breaking bulk
B) Instant sales infrastructure
C) Assumption of credit risks
D) Efficiency and assortment of goods
E) Valuable marketing information
Question 2
Rachelle owns a business with her brother, Ryan. Last year, their company earned a profit of 200,000. Rachelle paid taxes on her 100,000 share on her individual tax return because:
A) she and her brother own a corporation that has pass-through taxation.
B) she and her brother own a partnership that has pass-through taxation.
C) she and her brother own a partnership that has corporate taxation.
D) she and her brother own a partnership, and she only pays taxes on dividends she receives from the company.
E) she and her brother own a corporation and pay taxes only on their initial investment in the company.
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